Saudi Stocks Down for Three Days on Earnings

The video discusses the current challenges in the Saudi stock market, highlighting a significant decline in the Tadawul index due to poor earnings results and economic austerity measures. Retail investors, who dominate the market, are reacting to these negative trends. Despite this, there are investment opportunities as Saudi stocks are trading below average emerging market valuations, particularly in the banking sector. The video suggests that these conditions may attract institutional investors looking for bargains.

What percentage of the Tadawul index was down recently?

• 50%

• 70%

• 90%

• 100%

What is a significant characteristic of the Saudi stock market?

• Predominantly institutional investors

• No retail investors

• Predominantly retail investors

• Equal mix of retail and institutional investors

What recent government action has affected the Saudi economy?

• Cuts in salaries and bonuses

• Subsidies for all citizens

• Introduction of new taxes

• Increase in salaries

How are Saudi stocks currently valued compared to average emerging market stocks?

• No comparison available

• Below average

• Above average

• At par

Which sector in the Saudi market is highlighted as having potential investment opportunities?

• Healthcare

• Banking

• Real Estate

• Technology